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CC RESOLUTION 5164RESOLUTION NO. 5164 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL SEGUNDO APPROVING THE ADOPTION OF THE ICMA RETIREMENT CORPORATION GOVERNMENTAL MONEY PURCHASE PLAN & TRUST 401(A) The City Council of the City of EI Segundo does resolve as follows: SECTION 1: The City Council finds and declares that: A. The City of EI Segundo (the "City) has employees rendering valuable services; and B. The establishment of a money purchase retirement plan benefits employees by providing funds for retirement and funds for their beneficiaries in the event of death; and C. The City desires that its money purchase retirement plan be administered by ICMA-RC and that the funds held in such plan be invested in VantageTrust, a trust established by public employers for the collective investment of funds held under their retirement and deferred compensation plans; and D. The City hereby establishes a money purchase retirement plan (the "Plan") in the form of: a. The ICMA Retirement Corporation Governmental Money Purchase Plan & Trust, pursuant to the specific provisions of the Adoption Agreement (copy attached hereto as exhibit 1) E. The Plan shall be maintained for the exclusive benefit of eligible employees and their beneficiaries. SECTION 2: Adoption: F. Be it further resolved that the City hereby adopts the declaration of Trust of VantageTrust, intending this adoption to be operative with respect to any retirement or deferred compensation plan subsequently established by the City, if the assets of the plan are to be invested in the VantageTrust; and G. Be it further resolved that the City hereby agrees to serve as trustee under the Plan and to invest funds held under the Plan in VantageTrust; and H. Be it further resolved that the Director of Finance shall be the coordinator for the Plan (the "Plan Administrator"); shall receive reports, notices, etc., from ICMA Retirement Corporation or VantageTrust; shall cast, on behalf of the City, any required votes under VantageTrust; may delegate any administrative duties relating to the Plan to appropriate staff; and I. Be it further resolved that the City hereby authorizes the Plan Administrator to execute all necessary agreements with ICMA Retirement Corporation incidental to the administration of the Plan. SECTION 3: The City Clerk is directed to certify the adoption of this Resolution; record this Resolution in the book of the City's original resolutions; and make a minute of the adoption of the Resolution in the City Council's records and the minutes of this meeting. SECTION 4: This Resolution will become effective immediately upon adoption and will remain effective unless repealed or superseded. PASSED, APPROVED AND ADOPTED RESOLUTION NO. 5164 this 17th day of September 2019 Drew Boyles, yor ATTEST: Tracy Weaver, Cit Jerk APPROVED AS TO FORM: CERTIFICATION STATE OF CALIFORNIA COUNTY OF LOS ANGELES ) SS CITY OF EL SEGUNDO I, Tracy Weaver, City Clerk of the City of EI Segundo, California, do hereby certify that the whole number of members of the City Council of said City is five; that the foregoing Resolution No. 5164 was duly passed and adopted by said City Council, approved and signed by the Mayor, and attested to by the City Clerk, all at a regular meeting of said Council held on the 17th day of September, 2019, and the same was so passed and adopted by the following vote: AYES: Mayor Boyles, Mayor Pro Tem Pirsztuk, Council Member Brann, Council Member Pimentel, and Council Member Nicol NOES: None ABSENT: None ABSTAIN: None WITNESS MY HAND THE OFFICIAL SEAL OF SAID CITY this - "' day of September, 2019. T y Weaver, City Clerk of the City of EI Segundo, California EXHIBIT 1 GOVERNMENTAL MONEY PUR(HASE PLAN & TRUST 4DOPTION AGREEMENT BUILDING PUBLIC SECTOR RETIREMENT SECURITY ICMA RETIREMENT CORPORATION GOVERNMENTAL MONEY PURCHASE PLAN & TRUST ADOPTION AGREEM[ENT Plan Number 10• 0066 The Employer hereby establishes a Money Purchase plan and Trust to be known as gi 9nAirodaEacuW* 401(a) Plan (the "Plan") In the form of the ICMA Retirement Corporacion Governmental Money purchase Plan and Trust. chis Plan is an amendment and restatement of an existing defined contribution money purchase plan. ❑ Yes � No If yes, please specify the name of the defined contribution money purchase plan which this Plan hereby amends and restates: I. Employan Ory or FJ SoWndo II. Effective Dates ❑ 1. Effective Date ofRestatemenL If this document is a restatement of an existing plan, the effective due of the Plan shall be January i, 2007 unless an alternate effective date is hereby specified: (Note. An alternate effective date can be no earlier than January 1, 2007.) 2. Effective Dane of New Plan. If this is a new Plan, the effective date of the Plan shall be the First day of the Plan Year during which the Employer adopts the Plan, unless an alternate Effective Date is hereby specified: tktWW t, 2019 3. iSoacial Effective Dam,, Please note here any elections in the Adoption Agreement with an effective date that is different from that noted in 1. or 2. above. (Note provision and efl6ctive date.) III. Plan Year will mean: The twelve (12) consecutive month period which coincides with the limitation year. (See Section 5.030 of the Plan.) ❑ The twelve (12) consecutive month period commencing on and each anniversary thereof. IV. Normal Retimment Age shall be ageLs (not to exceed age 65). Important Note to Emp4yrrr. Normal Retirement Age is significant for determining the earliest date at which the Plan may allow for in-service distributions. Nonnal Retirement Age ;also defines the latest date at which a Participant must have a fWly vested right to his/her Account. There are IRS rules that limit the age that may be specified as the Plan's Normal Retirement. Age. The Normal Retirement Age cannot be earlier than what is reasonably representative of the typical retirement age for the industry in which the covered worltforce is employed. An age under 55 is presumed .not to satisfy this requirement, unless the Commissioner of Internal Revenue determines that the facts and circumstances show otherwise. Money Purchase Plan Adoption Agreement Whether an age between 55 and 62 satisfies this requirement depends on the facts and circumstances, but an Employer's good Faith, reasonable determination will generally be given defetence. A special rule, however, applies in the case of plant where substantially all of the participants in the plan are qualified public safety employees within the meaning of section 72(t)(10)(B) of the Code, in which case an age of 50 or later is deemed not to be earlier than the earliest age that is reasonably representative of the typical retirement age for the industry in which the covered workforce is employed. V ELIGIBILITY REQUIREMENTS 1. The following group or groups of Employees am eligible to participate in the Plan: _. All Employees _ All Full Time Employees _ Salaried Employees Non union Employees Management Employees _ Public Safety Employers epoyeral ees pr Emye= (Specify the group(s) of eligible employees below. Do nor specify employers by name. Spaif C positions are acoeptable.) Gy! Manw" . . "The group specified must correspond to a group of the same designation that is defined in the sratutes, ordinances, rules, regulations, personnel manuals or other material in effea io the state or locality of the Employer. The eligibility requirements cannot be such that an Employee becomes eligible only in the Plan Year in which the Employee terminates employment. Notcx As stated in Sections 4.07 and 4.08, the Plan may. however, provide that Final Pay Contributions or Accrued L ave Contributions ate the only contributions made under the Plan. The Employer hereby waives or reduces the requirement of a twelve (12) month Period of Service for participation. The required Period of Service shall be (write NIA If an Employee is eligible to participate upon employment.) WA If this waiver or reduction is elected, it shall apply to all Employees within the Covered Employment Classification. 3. A m'inimurm age requirement is hereby specified for eligibility to parricipara The minimum age requirement is WA (not to exceed age 21. Write NIA If no minimum age Is declared.) VI. CONTRIBUTION PROVISIONS The Employer shall contribute as followst (Choose all that apply, but at least one of Opdons A or B. If Opdon A ism selected, Employer must pick up Participant Contributions under Option B.) Fixed Employer Contributions With or Without Mandatory Participant Contributions. (If Option B is chosen, please complete section C.) A. EMVjQyer Qn1ribtrtions. The Employer shall contribute on behalf of each Participant io % of Earnings or g . for the Plan Year (subjecre to the limitations ofArtide V of the Plan). Mandatory Participant Contributions ❑ are required ;i are not required to be eligible for this Employer Contribution. ■ �a r• ,, w .r, ,w , +, . , , ., i . A Participant Is required to contribute (subject to the limitations ofArticle V of the Plan) the specified amounts designated in items (i) through (iii) of the Contribution Schedule below: ❑ Yes 91 No Money Purchase Plan Adoption Agreement Emp! yo . Each Employee eligible to participate In the Plan shall be given the opportunity to�irrevocably elect to participate In the Mandatory Participant Contribution portion of the Plan by electing to contribute the specified amounts designated in items (i) through (iii) of the Contribution Schedule below for each Plan Year (subject to the limitations of Article V of the Plan): C3 Yes ;3 NO (i) % of Earnings, (ii) $ , or (III) a whole percentage of Earnings between the range of (insert range of ptmniaages between I% and '20% intdwive 0.g., 3%, 696, or 2096i 5% to ,T%))., as designated by the Employee in accordance with guidelines and procedures established by the Employer for the Plan Ytat as a condition of participation in the Plan. A Participant must pith a single percentage and .shall not have the right to discontinue or vary the rate of such contributions after becoming a Plan Participant. pgiover "Pick u,". The Employer hereby elects to "pick up" the Mandatory Participant Contributions' (pick up is required if Option A is not selected). ❑ Yes No (""Hee is the dafardir pmviitr under tit r Plan fo sdaretdon it sada) ❑ C. E1=1on Window (Complete if Option B is selected): Newly eligible Employees shall be provided an election window of -days (no more than Eli calendar days,) from the date of inirlal eligibility during which they may matte the election to participate In the Mandatory Participant Contribution portion of the Plan. Participation in the Mandatory Participant Contribution portion of the Plan shall begin the first of the month following the end of the election window. An Employee"s election is irrevocable and shall remain in force until the Employee terminates employment or ceases to be eligible to participate in the .Plan. In the event of're-employment to an eligible position, the Employeds original election will resume. In no e"tent does the 'Employee have the option of receiving the pick-up contribution amount directly. 2. The Employer may also elect to contribute as follows: ❑ A. Eiggd EMRIgnt MatdLd Voluntary After fax Parti '" The Employer shall contribute on behalf of each Participant _% of Earnings for the Plast Year (subject to the limitations of Article V of the Plan) for each Plain Year that such Participant has contributed _% of Earnings or $ . Ander this option, there is a single, farted rate of Employer contributions, but a Participant may decline to snake the requited Participant contributions in any Plan Year, in which case no Employer contribution will be made on the Participants beiutif in that Plan Year. ❑ B. V The Employer shall contribute on behalfofeach Participant an amount determined as follows (subject m the limitations ofArtide V of the Plan): % of the Voluntary Participant Contributions made by the Participant for the Plan Year (not including Participant contributions exceeding ,.._,% of Earnings or $ }; I Neither ars IRSadvisory letter nor a determination letter issued to ass adopting Roaployer is a ruling by the Internal Revenue Service that Participant rorttribattianr that arc °pi'ckcd up" by sire Lcanployer are not i'nrlud4+61f in she Participantigrott income for frdrral income rax purposes. Pick-up contributions, art not mandatrd to rrceivt private leaser rulings however: J(an adopting rmplayer avithes to rreeive a ruling on ,pick-up contri'bation;t they may rolutst one in accortdance with ii"erenue Proredurr 2012-4 (or tubrequentguidancr), Money Purchase Plan Adoption Agreement PLUS % of the contributions made by the Participant for the Plan Year in excess of those included in the above paragraph (but not including Voluntary Participant Contributions exceeding in the aggregate _% of Eamings or $ _ _ _ _... ). Employer Matching Contributions on behalf of a Participant for a Plan Year shall not exceed $ or _% of Earnings, whichever is — more or less. 3. Each Participant may make a voluntary (unmatched), after= contribution, subject to the limitations of Section 4.05 and Article V of the Plan: 0 Yes ❑ No ("No" is the defanAr pr oviden under dx Plan !f no nkedon it trade.) 4. Employer contributions for a Plan Year shall be contributed to rhe Trusr in accordance with the following payment schedule (no later than the 15th day of the tenth calendar month following the endof the calendar year or fiscal year (as applicable depending on the basis on which the Employer keeps its books) with or within which the particular Limitation year ends, or in accordance with applicable law): Bi -weekly S. Participant contributions for a Plan Year shall be contributed to the Trust in accordance with the following payment schedule (no later than the 15th day of the tenth calendar month following the end of the calendar year or fiscal year (as applicable depending on the basis on which the Employer keeps its books) with or within which the particular Limitation year ends, or in accordance with applicable law): Bi -weekly 6. In the case of a Participant performing qualified military service (as defined in Code section 414(u)) with respect to the Employer. A Plan contributions will be made based on differential wage payments: ❑ Yes V No ('Tei" it the deforrlt pr s bion ender the Plan eno selection is made.) If yes is selected, this is effective beginning January 1, 2009 B. Participants who die or become disabled will receive Plan contributions with respect to such service: Cl YesMe No ("No" is the default pnmririon under the Plan ifno sebetlon is made.) If yes is selected, this is effective for participants who died or became disabled while performing qualified military service on or after January 1, 2007, unim another 141cr effecdys Money Purchase Plan Adoption Agreement VII. EARNINGS Earnings, as defined under Section 2.09 of the Plan, shall include•. 1. Overtime C3 yes No 2. Bonuses ❑ Yes No 3. Other Pay (specifically describe any other types of pay to be included below) VIII. ROLLOVER PROVISIONS 1. The Employer will permit rollover contributions in accordance with Section 4.I2 of the Plan: Go Yes ❑ No ("Yes'° b shin defardt pnv *&x under the Plan foo selection is ::ratite) 2. Direct rollovers by non -spouse beneficiaries are effective for distributions after 2000 ble—I f the Plan delayA mWdngrolloveea v 'c. check tht hox below dam in, thg space jawyidad. ❑ Effective Date is (Note: Plans must offer direct rollovers by non -spouse benef aiariev no later than plan years beginning after December 31, 2009.) IX. LIMITATION ON ALLOCATIONS If the Employer maintains or ever maintained another qualified plan in which any Participant in this Plan is (or was) a participant or could possibly become a participant, the Employer herby agrees to limit contributions to all such plans as provided herein, if necessary in order to avoid excess contributions (as described In Section 5.02 of the Plan). 1. If the Participant is covered under another qualified defined contribution plan maintained by the Employer, the provisions of Section 5,02(x) through (e) of the Plan will apply unless another method has been indicated below. ❑ Other Method. (Provide the method underwhich the plans will limit rod Annual Additions to the Maximum Permissible Amount, and will properly reduce any excess amounts, in a manner that precludes Employer discretion.) 2. The Limitation Year is the following 12 consecutive month period: 3. Unless the Employer elects a delayed effective date below, Article 5 of the Plan will apply to limitations years beginning on or after July 1, 2007. (7he e f "ectivt date listed cannot be later than 90 days after the close of thefirst regular legislative semen of for legislative body with authority to amend the plan that begins on or of termly 1, 2007.) Money Purchase Plan Adoption Agreement X. VESTING PROVISIONS The Employer hereby specifies the following vesting schedule, subject to (1) the minimum vesting requirements and (2) the concurrence of the Plan Administrator. (For the blanks below, enter the applicable percent – From 0 to 100 (with no entry after the year in which 100% is entered), In ascending order.) Pedod of Completed Percent VWAd— Zero 100 % One % Two % Three % Four % Five % Six % Seven % Eight % Nine tib Ten % XI. WITHDRAWALS AND LOANS i. In-service distributions are permitted under the Plan after a participant attains (select one of the below options): 91 Normal Retirement Age ❑ Age 70% MOW is the defauk provision order rhe Plan ifno a4cefoa is made.) ❑ Alternate age (after Normal Retirement Age): ❑ Not permitted at any age 2. A Participant shall be deemed to have a severance from employment solely for purposes of eligibility to receive distributions from the Plan during any period the individual is performing service in the uniformed services for more than 30 days. 9f Yes ❑ No ("Yet" is the defiauk provision under du plan rno selection is made.) 3. Tax-free distributions of up to $3,000 for the direct payment oFquali6dng insurance premiums for eligible retired public safery officers are available under the Plan. ,. ❑ Yes t� No ("No" is dm dsfiankprovirion under for Plan ifno selection is made.) 4. In-service distributions of the Rollover Account are permitted under the Plan, as provided in Section 9.07. ❑ Yes 91 No ("No" is the defauk provision under the Plays !f ne seleetion is made.) S. Loans are permitted under the Plan, as provided in Article XIII of the Plan: C3 Yes W No ("No" is rhe default provision under the Plan ifno saketivn is made.) Money Purchase Plan Adoption Agreement 6 XII. SPOUSAL PROTECTION 'The Plan will provide the following level of spousal protection (select one): 1. Participant Directed Election. The normal form of payment of benefits under the Plan is a lump sum. The Participant can name any person(s) as the Beneficiary of the Plan, with no spousal +consent required. ❑ 2. Beneficiary Spousal Consent Election (Article XII). The normal form of payment of benefits under the Plan is a lump sum. Upon death, the surviving spouse is the Beneficiary, unless he or she consents to the Participant's naming another Beneficiary. ("Bent, ficiary Spousal Consent F.liction" its the default provision under the Pierer if no selection is made.) ❑ 3. QJSA Election. (Article XVII). The normal form of payment of benefits under the Plan is a 50% qualified joint and survivor annuity with the spouse (or life annuity, if single). In the event of the Pardcipan6 death prior to commencing payments, the spouse will receive an annuity for his or her lifetime. (IfC Is selected, the spousal Consent requirements in Article XII also will apply.) XIII. FWL PAY CONTRIBUTIONS The Plan will provide for Final Pay Contributions if either 1 or 2 below Is selected. The following group of Employees shall be eligible for Final Pay Contributions: All Eligible Employees ❑ Other Final Pay shall be defined as (select one)t ❑ A. Accrued unpaid vacation ❑ B. Accrued unpaid sick leave 66 C. Accrued unpaid vacation and sick leave ❑ D. Other (insert definition of Final Pay — must hr leave that Employee would have been able to ure ifemployment had continued and must be bona fide vacation and/or sick /rave ❑ 1. Employer Final Pay + Contribution. The Employer shall contribute on behalf of each Participant % of Final Pay to the Plan (subject to the limitations ofArticle ''V of the Plan). 2. Employee Designated FIxW Pay Contribution. Each Employee eligible to participate in the Plan shall be given the opportunity at enrollment to irrevocably elect to contribute — % (insert fixed percentage of final pay to be contributed) or up to too % (insert maximum percentage of final pay to be contributed) of Final Pay to the Plan (subject to the limitations ofArticle 'V of the Plan). Once elected, an Employee's election shall remain in force and may not be revised or revoked. Money Purchase Plan Adoption Agreement XIV. ACCRUED LEAVE CONTRIBUTIONS The Plan will provide for accrued unpaid leave contributions annually If either 1 or 2 is selected below. The following group of Employees shall be eligible for Accrued Leave Contributions: ❑ All Eligible Employees Other. CNY Marwow Accrued Leave shaU be defined as (select one)$ ❑ A. Accrued unpaid vacation ❑ B. Accrued unpaid sick lave 0 C. Accrued unpaid vacation and sick leave ❑ D. Other (insert definition of accrued leave that is bona fide vacation and/or sick leave): ❑ 1. Employer Accrued Leave Contribution. The Employer shall contribute as follows (choose one of the following options): ❑ For each Plan Year, the Employer shall contribute on behalf of each Eligible Participant the unused Accrued Leave in excess of (insert number of hours/days/weeks (circle one)) to the Plan (subject to the limitations of Article V of the Plan). © For each Plan Year, the Employer shall contribute on behalf of each Eligible Participant % of unused Accrued have to the Plan (subject to the limitations of Article V of the Plan). 2. Employee Designated Accrued Leave Contribution. Each eligible Participant shall be given the opporrunity at enrollment to irrevocably elect to contribute % (insert fixed percentage of accrued unpaid lave to be contributed) or up to 100 % (insert maximum percentage of accrued unpaid leave to be contributed) of Accrued Leave to the Plan (subject to the limitations of Article V of the Plan). Ona elected, an Employees election shall remain In force and may nor be revised or revoked. XV. The Employer hereby artests that it is a unit of state or local government or an agency or instrumentality of one or more units of state or local government. XVI. The Employer understands that this Adoption Agreement is to be used with only the ICMA Retirement Corporation Governmental Money Purchase Plan and Trust. "This ICMA Retirement Corporation Governmental Money Purchase Plan and Trust is a restatement of a previous plan, which was submitted to the Internal Revenue Service for approval on April 2, 2012, and received approval on Much 31, 2014. The Plan Administrator hereby agrees to inform the Employer of any amendments to the Plan made pursuant to Section 14.05 of the Plan or of the discontinuance or abandonment of the Plan. The Employer understands that an amendment(s) made pursuant to Section 14.05 of the Plan will become effective within 30 days of notice of the ameadment(s) unless the Employer notifies the Plan Administrator, in writing, that it disapproves of the amendment(s). If the Employer so disapproves, the Plan Administrator will be under no obligation to act as Administrator under the Plan. XVII. The Employer hereby appoints the ICMA Retirement Corporation as the Plan Administrator pursuant to the terms and conditions of the ICMA RETIREMENT CORPORATION GOVERNMENTAL MONEY PURCHASE PIAN & TRUST. The Employer hereby agrees to the provisions of the Plan and Trust. Money Purchase Plan Adoption Agreement XVIII. The Employer hereby acknowledges it understands chat failure to properly fill out this Adoption Agreement may result in disqualification of the Plan. XIX. An adopting Employer may rely on an advisory letter issued by the Internal Revenue Service as evidence that the Plan is qualified under section 401 of the Internal Revenue Code to the extent provided in applicable IRS revenue procedures and other official guidance. In Witness Whereof, the Employer hereby causes this Agreement to be executed on this 19 day of September 19 20 EMPLOYER By: Print name:o�eph Lillio Tlde: Director of Finance ATTEST" icy Clei City of EI Segundo AP HE TO FORM. C1 ATTORNEY Money Purchase Plan Adoption Agreement ICMA RETIREMENT CORPORATION 777 North Capitol St., NE Suire 600 Washington, DC 2.00 800-326-7272 P Name: r Tide: Assislant Secretary Attest: '`✓